Proceedings of Annual Tokyo Business Research Conference
9 - 10 November 2015, Shinjuku Washington Hotel, Tokyo, Japan, ISBN: 978-1-922069-88-7
1
Impact of Inflation, Exchange Rate toward The Unemployment and
The Poverty in Indonesia (Case Study: The Small and Medium
Industry at The Tourist Area in Lombok)
Edy Supriyadi* and Devi Roza Krishnandi Kausar **
This purpose of the study to determine what the Impact of inflation and the weakening of the
rupiah exchange rate against US $ toward to the level of poverty and unemployment as well
as the development of small entrepreneurs. This study will use the approach to quantitative
and qualitative research methods. The results: (1)There is the significant of the rate of
inflation, the value of exchange rate, economic growth and average wages to the amount of
poverty.(2)There is the significant of the inflation rate and the average wage of the amount of
poverty in urban areas. (3) There is the significant of the rate of inflation, the value of exchange
rate, economic growth and average wages to the amount of poverty in rural areas.(4) There is
the significant of the inflation rate, exchange rate and unemployment on the unemployment
assuming fixed wage. (5) There is no significant between the rate of inflation, the exchange
rate of the number of unemployed with no fixed wage assumption. The Qualitative analysis the
finding (1) the welfare of the Small Industry both businessmen and artisans are not overly
influenced by the impact of inflation and the weakening of the rupiah against the US dollar. (2)
Strategies to Overcome the Impact of Inflation and Exchange Rate include by The small and
medium Industry (a ) Efforts to reduce the size of the goods (b) reducing the quality of the
product (c) reduce business profits and d. cost efficiency of production (3) Marketing System :
(a)Waiting for domestic and foreign tourists who came to be brought by Tour guide (b)
Through the special market held by government (c) Through exhibitions outside some
areas d. through the website to foreign countries
*Dr. Edy Supriyadi, MBA, Economic Faculty University Pancasila, Jakarta, Indonesia. Email : edyyadi2@gmail.com
**Devi Roza Krishnandi Kausar, PhD, Tourism Faculty University Pancasila, Jakarta, Indonesia. Email:
devikausar@gmail.com